Australian Prudential Regulation Authority Amendment Act 2003 (42 of 2003)

Schedule 1   Amendment of the Australian Prudential Regulation Authority Act 1998

26   After Part 4

Insert:

Part 4A Disclosure of interests of APRA members, APRA staff members and delegates

Division 1 Disclosure of interests of APRA members

48A Standing obligation to disclose interests

(1) An APRA member must disclose any interest that the member has if that interest could conflict with the proper performance of the functions of his or her office. Disclosure is required whether or not there is any particular matter under consideration that gives rise to an actual conflict of interest.

(2) Subsection (1) applies to interests:

(a) whether direct or indirect, and whether or not pecuniary; and

(b) whether acquired before or after the APRA member's appointment.

(3) The disclosure must be by notice in writing given to the Minister, and to each of the other APRA members, as soon as practicable after the APRA member becomes aware of the potential for conflict of interest.

(4) Without limiting subsection (1), interests that must be disclosed under that subsection include:

(a) any agreement, understanding or expectation that the APRA member will:

(i) resume a previous business relationship (whether or not that relationship existed immediately before the member's appointment); or

(ii) enter into a new business relationship;

when the member ceases to be a member; and

(b) any severance arrangement or ongoing financial arrangement that takes account of an agreement, understanding or expectation that must be disclosed under paragraph (a).

(5) Paragraphs (4)(a) and (b) apply to agreements, understandings or arrangements entered into, or expectations arising, before or after the member's appointment.

(6) The obligation to disclose an interest described in paragraph (4)(a) is subject to the following provisions:

(a) disclosure is required whether or not the field of business or legal nature of the relationship has been determined;

(b) if the interest is an expectation to enter into a new business relationship - the interest does not have to be disclosed unless the member can identify the other party, or one or more other parties, to the relationship.

48B Obligation to disclose interests before deciding a particular matter

(1) An APRA member who has an interest that could conflict with the proper performance of the functions of his or her office, as they give the member a role in deciding a particular matter, must not perform the role in deciding the matter unless:

(a) the member has disclosed that interest to each of the other APRA members; and

(b) each of the other APRA members has consented to the member performing that role in deciding that matter despite the possible conflict of interest.

(2) Subsection (1) applies to interests:

(a) whether direct or indirect, and whether or not pecuniary; and

(b) whether acquired before or after the APRA member's appointment.

(3) An APRA member, other than the Chair, who gives a consent under paragraph (1)(b) must, as soon as practicable, advise the Chair that he or she has given the consent.

(4) If an interest is disclosed under subsection (1), the Chair must, as soon as practicable, give the Minister a written notice:

(a) describing the interest and the matter; and

(b) advising the Minister whether the other APRA members have consented as mentioned in paragraph (1)(b).

48C Sections 27F to 27K of the Commonwealth Authorities and Companies Act 1997 do not apply

Sections 27F to 27K of the Commonwealth Authorities and Companies Act 1997 do not apply in relation to APRA members.

Division 2 Disclosure of interests of APRA staff members and delegates

48D APRA to ensure adequate disclosure of interests requirements apply to APRA staff members and delegates

APRA must take reasonable steps to ensure that there are, where appropriate, adequate disclosure of interests requirements applying to:

(a) APRA staff members; and

(b) people (other than APRA members and APRA staff members) performing or exercising functions or powers delegated to them by APRA under section 15.